MRSA superbug spreading from hospitals across UK

Financial Times 25th October 2017: MRSA superbug spreading from hospitals across UK

The Financial Times article above discusses the first comprehensive study of the transmission of the life-threatening bacterial superbug methicillin-resistant Staphylococcus aureus (MRSA). Researchers at the Wellcome Trust Sanger Institute and London School of Hygiene and Tropical Medicine used new “genomic surveillance” technology to trace the spreading of MRSA in the east of England for a year.

The results indicated that MRSA infection outbreaks occurred not only within hospitals but also in the community, within GP surgeries and homes. The study estimates that 3% of the UK population, approximately 2 million people, carry MRSA and the superbug can cause infections in the carrier or be spread, leading to infections in other subject both inside and outside of hospitals. MRSA causes a range of different infections from minor skin infections through to fatal bloodstream sepsis. From 2018, the researchers at the Sanger Institute will pass on all MRSA tracking information in real time to infection control workers in hospitals, who will then be able to intervene more quickly and effectively to fight outbreaks.

Professor Peacock said, “If implemented in clinical practice, this would provide numerous opportunities to catch outbreaks early and target these to bring them to a close, for example by ‘decolonising’ carriers and implementing barrier nursing.”

Dr Love, CSO at Destiny Pharma plc, welcomed the report and noted, “This research comes against the backdrop of a resurgence of MRSA hospital infections in England and a disturbing, long term neglect of year-on-year rises in hospital infections from the less publicised, yet still deadly, bacterial sibling of MRSA, methicillin sensitive Staphylococcus aureus (MSSA). This research represents a much-needed additional approach that could help address these infections if rolled out across the UK.”

United Nations group to meet in Berlin in October 2017 to discuss global issue of Anti-Microbial Resistance

Destiny Pharma plc notes the leading article on the global issue of AMR (anti-microbial resistance) and the accompanying opinion piece in the Observer newspaper on 8th October. The article highlights the upcoming meeting in Berlin on 12th October of the United Nation’s “Antimicrobial Resistance Inter-Agency Coordination Group (IACG)” which is meeting to focus on the most critical gaps in tackling the development and spread of drug-resistant infections, and to commit to concerted and tangible actions.

Dr Bill Love, CSO and founder of Destiny Pharma noted, “Destiny actively supports such initiatives and believes that Destiny’s novel, anti-infective portfolio has the potential to be a breakthrough in the prevention and treatment of certain infections whilst also addressing the global problem of AMR”.

For more information on the Observer article please visit: https://www.theguardian.com/society/2017/oct/08/world-faces-antibiotic-apocalypse-says-chief-medical-officer

Destiny Pharma announce interim results 27th September 2017

Destiny Pharma announced its maiden interim results for the six months ending 30 June 2017 today. The interim results news release can be found here. The presentation for the analyst meeting can be found here and there is also an accompanying audio version of that presentation which is provided below:

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More support announced for new antibiotics

Over the last week or so we have seen the WHO’s Global Antibiotic R&D Partnership (GARDP) announce a €56 million fund to fight antibiotic resistance, the EU/industry’s DRIVE-AB recommend four antibiotic development incentive models and the US’s Biomedical Advanced R&D Authority (BARDA) announce $62m support for Phase III trials of a UK biotech’s antibiotic.

GARDP revealed on 4th Sept that €56 million of funding will be made available to help develop new treatments to fight against antibiotic resistance. The funding will support four areas; Sexually transmitted diseases with a focus on gonorrhoea; A REVIVE program to review historic abandoned antibiotic programs; Neonatal Sepsis, drug-resistant infections of which claim >200,000 infants annually will develop new treatments; and Paediatric Antibiotics to develop new antibiotics specifically adapted for children.

DRIVE-AB, an EU and EU industry alliance recommended four antibiotic development incentive models at its congress, 5-6th Sept. These included two ‘Push’ incentives (grants and pipeline coordination) and two ‘Pull’ incentives (market entry rewards and a long term continuity model). Final DRIVE-AB recommendations will be published in a report in January 2018.

On 11th Sept the US government’s BARDA announced the award of a contract worth up to $62 million to conduct the Phase III clinical development of the novel antibiotic ridinilazole for the treatment of Clostridium difficile infection. UK biotech Summit plc was the recipient of the award. Such non-dilutive support by BARDA for final stage clinical development of novel antimicrobial drugs addressing unmet need and where there is significant risk to public health is a welcome additional source of funding.

Framework Agreement with China Medical Systems

NOT FOR RELEASE, DISTRIBUTION OR PUBLICATION, IN WHOLE OR IN PART, DIRECTLY OR INDIRECTLY, IN OR INTO THE UNITED STATES OF AMERICA (INCLUDING ITS TERRITORIES AND POSSESSIONS, ANY STATE OF THE UNITED STATES AND THE DISTRICT OF COLUMBIA) (THE “UNITED STATES”), CANADA, AUSTRALIA, THE REPUBLIC OF SOUTH AFRICA, JAPAN OR ANY OTHER JURISDICTION WHERE TO DO SO MIGHT CONSTITUTE A VIOLATION OF THE RELEVANT LAWS OR REGULATIONS OF SUCH JURISDICTION.

Destiny Pharma plc
(“Destiny Pharma” or “the Company”)

Destiny Pharma Announces Regional Framework Development and Commercialisation Agreement with China Medical Systems

Brighton, United Kingdom – 4 September 2017 – Destiny Pharma (AIM: DEST), a clinical stage biotechnology company focused on the development of novel anti-microbial drugs, which address the global problem of anti-microbial resistance (AMR) , is pleased to announce it has entered into a framework development and commercialisation collaboration agreement with China Medical System Holdings Ltd (“CMS”) (867:HK).

Destiny Pharma has entered into a binding framework agreement detailing the collaboration with a wholly-owned subsidiary of CMS who will get full rights in China and certain other Asian countries (excluding Japan) to enable the development and commercialisation of Destiny Pharma’s pipeline in the region. Under the collaboration, CMS will make a £3 million equity investment on the finalisation of the detailed agreement under which the parties will agree to work together in the further research and development of the Destiny Pharma anti-infective portfolio. It is planned that the parties will coordinate and share data from their respective studies and Destiny Pharma will benefit from the investment CMS will make in the assets’ development in China. Once formalised, Destiny Pharma will also be able to receive future milestones based on the achievement of sales targets by CMS and may also make a manufacturing margin on any product Destiny Pharma supplies. In addition, A&B (HK) Company Ltd (“A&B”), a company with a controlling shareholder in common with CMS, has invested £3 million in a placing of new ordinary shares in Destiny Pharma, announced today, that raised gross proceeds of £15.3m (see separate announcement).

Neil Clark, Chief Executive Officer of Destiny Pharma, commented:
We are pleased to announce this framework agreement with a large, expert company such as China Medical Systems. Such collaborations are in line with our strategy and confirm the potential in our pipeline. We anticipate that this partnership will accelerate the development of assets from our proprietary XF drug platform in China and certain other Asian markets whilst permitting Destiny Pharma to retain its focus on its key target markets in the US and the EU.”

Mr Lam Kong, Chairman and Chief Executive Officer of CMS, said:
We are pleased at the opportunity to work with Destiny Pharma, coordinating and sharing the data that we both generate. Our equity investment in the Company underpins our commitment to this partnership. We look forward to collaborating closely.”

For further information, please contact:

Destiny Pharma
Neil Clark, CEO
Simon Sacerdoti, CFO
pressoffice@destinypharma.com
+44 (0)1273 704 440

FTI Consulting
Simon Conway / Victoria Foster Mitchell / Hanna Skeppner
destinypharma@fticonsulting.com
+44 (0) 20 3727 1000

Cantor Fitzgerald Europe
Philip Davies / Will Goode, Corporate Finance
pdavies@cantor.co.uk
+44 (0)20 7894 8337

About Destiny Pharma
Destiny Pharma is an established, clinical stage, innovative biotechnology company focused on the development of novel medicines that represent a new approach to the treatment of infectious disease. These potential new medicines are being developed to address the need for new drugs for the prevention and treatment of life-threatening infections caused by antibiotic-resistant bacteria, often referred to as “superbugs”. Tackling anti-microbial resistance has become a global imperative recognised by the WHO and the United Nations, as well as the G7 and the G20 countries. For further information, please visit https://www.destinypharma.com

About China Medical System Holdings Limited
CMS is a specialty pharmaceutical company based in China, focusing on marketing, promotion and sales of prescription drugs and other medicinal products to all therapeutic departments in hospitals nation-wide. CMS builds up its product portfolio for its target markets by asset acquisition, equity investment, licensing-in and distribution partnership on the global basis as well as in-house R&D. It is publicly traded on the Hong Kong Stock Exchange (867.HK) with a market capitalisation of approximately HK$35.82 billion (c. £3.5 billion) as at 31 August 2017.

Forward-looking statements
This announcement includes statements that are, or may be deemed to be, “forward-looking statements”. These forward-looking statements can be identified by the use of forward-looking terminology, including the terms “believes”, “estimates”, “plans”, “projects”, “anticipates”, “expects”, “intends”, “may”, “will” or “should” or, in each case, their negative or other variations or comparable terminology. These forward-looking statements include matters that are not historical facts. They appear in a number of places throughout this announcement and include statements regarding the directors’ current intentions, beliefs or expectations concerning, among other things, the Company’s results of operations, financial condition, liquidity, prospects, growth, strategies and the Company’s markets.

Forward-looking statements may and often do differ materially from actual results. Any forward-looking statements in this announcement are based on certain factors and assumptions, including the directors’ current view with respect to future events and are subject to risks relating to future events and other risks, uncertainties and assumptions relating to the Company’s operations, results of operations, growth strategy and liquidity. While the directors consider these assumptions to be reasonable based upon information currently available, they may prove to be incorrect. Save as required by law or by the AIM Rules for Companies, neither the Company nor Cantor Fitzgerald Europe undertakes any obligation to publicly release the results of any revisions to any forward-looking statements in this announcement that may occur due to any change in the directors’ expectations or to reflect events or circumstances after the date of this announcement.

Admission and First Day of Dealings on AIM

NOT FOR RELEASE, DISTRIBUTION OR PUBLICATION, IN WHOLE OR IN PART, DIRECTLY OR INDIRECTLY, IN OR INTO THE UNITED STATES OF AMERICA (INCLUDING ITS TERRITORIES AND POSSESSIONS, ANY STATE OF THE UNITED STATES AND THE DISTRICT OF COLUMBIA) (THE “UNITED STATES”), CANADA, AUSTRALIA, THE REPUBLIC OF SOUTH AFRICA, JAPAN OR ANY OTHER JURISDICTION WHERE TO DO SO MIGHT CONSTITUTE A VIOLATION OF THE RELEVANT LAWS OR REGULATIONS OF SUCH JURISDICTION.

Destiny Pharma plc
(“Destiny Pharma” or “the Company”)

Admission and First Day of Dealings on AIM
Successful placing raising £15.3 million

Brighton, United Kingdom – 4 September 2017 – Destiny Pharma, a clinical stage biotechnology company focused on the development of novel anti-microbial drugs, which address the global problem of anti-microbial resistance (AMR), is pleased to announce the admission (“Admission”) of its ordinary shares (“Ordinary Shares”) to trading on AIM, a market operated by London Stock Exchange plc, from 8:00am today under the ticker “DEST” (ISIN GB00BDHSP575).

The Company has raised gross proceeds of £15.3 million through a placing (“Placing”) with existing and new institutional and other investors of 9,733,770 Ordinary Shares at a placing price of 157 pence per Ordinary Share (“Placing Price”). The Company is very pleased to have raised an additional £1.8 million to the £13.5 million published in the admission document on 29 August due to increased institutional demand. Pursuant to the Placing a total of 41,651,770 Ordinary Shares will be in issue immediately following Admission, giving a market capitalisation of approximately £65.4 million at the Placing Price.

Destiny Pharma has also entered into a binding framework agreement detailing a collaboration with a wholly-owned subsidiary of China Medical System Holdings Ltd (“CMS”) to enable the development and commercialisation of the Company’s assets in China and certain other Asian countries, excluding Japan (see separate release announced today). A&B (HK) Company Ltd, a company with a controlling shareholder in common with CMS, has invested £3 million in the Placing.

Neil Clark, Chief Executive Officer of Destiny Pharma, commented:
“The successful placing and admission of our shares to trading on AIM are major milestones for Destiny Pharma. The funds raised will primarily be used to progress our lead drug candidate, XF-73, through an important Phase IIb clinical trial in the prevention of post-surgical Staphylococcus aureus infections (including MRSA) over the next two years. If successful, XF-73 will then be ready for Phase III clinical development which will be a major value inflection point.

“XF-73 could be the first drug to be specifically labelled for a new US FDA sanctioned indication, namely the prevention of post-surgical infections; a market we believe to be worth a billion dollars in the US alone and growing.

“We would like to thank our new and existing shareholders for their support and we look forward to updating the market with our progress as we continue to advance XF-73 and our proprietary XF drug development platform.”

Highlights of Destiny Pharma

  • A clinical stage biotechnology company – lead asset (XF-73) targets post-surgical bacterial infections in hospitals
  • XF drugs have shown in studies to be safe, fast acting and have a unique low/no resistance profile
  • XF-73 has multiple drivers for adoption in an area of global unmet medical need, with a potentially “fast track” route to regulatory approval in the US market
  • XF-73 is significantly de-risked – five successful Phase I/IIa clinical trials completed to date showing rapid antibacterial action combined with evidence of a no/low resistance profile; next major clinical trial is Phase IIb in the US
  • XF-73 is part of the Company’s proprietary, anti-microbial drug platform “XF Drugs” with a new mechanism of rapid action – Destiny Pharma also has several earlier stage programmes
  • Destiny Pharma has market exclusivity, including robust IP protection that potentially extends into 2030
  • Clearly defined value creation opportunity, significant addressable markets, including blockbuster potential for XF-73’s lead indication
  • £15.3 million gross proceeds will be used primarily to advance XF-73 to complete a Phase IIb clinical trial

The admission document and supplementary admission document, along with the information required by AIM Rule 26, are available on the Company’s website, www.destinypharma.com.

Cantor Fitzgerald Europe (“Cantor Fitzgerald”), which is authorised and regulated in the United Kingdom by the Financial Conduct Authority, is acting as nominated adviser and broker to the Company.

For further information, please contact:

Destiny Pharma
Neil Clark, CEO
Simon Sacerdoti, CFO
pressoffice@destinypharma.com
+44 (0)1273 704 440

FTI Consulting
Simon Conway / Victoria Foster Mitchell / Hanna Skeppner
destinypharma@fticonsulting.com
+44 (0) 20 3727 1000

Cantor Fitzgerald Europe
Philip Davies / Will Goode, Corporate Finance
pdavies@cantor.co.uk
+44 (0)20 7894 8337

About Destiny Pharma
Destiny Pharma is an established, clinical stage, innovative biotechnology company focused on the development of novel medicines that represent a new approach to the treatment of infectious disease. These potential new medicines are being developed to address the need for new drugs for the prevention and treatment of life-threatening infections caused by antibiotic resistant (AR) bacteria, often referred to as “superbugs”. Tackling anti-microbial resistance has become a global imperative recognised by the WHO and the United Nations, as well as the G7 and the G20 countries. For more information, please visit https://www.destinypharma.com

Important information
This announcement is for information purposes only and does not itself constitute an offer or invitation to underwrite, subscribe for or otherwise acquire or dispose of any securities in the Company and does not constitute investment advice.

Neither this announcement nor any copy of it may be taken or transmitted, reproduced, published or distributed, or the contents otherwise divulged, directly or indirectly, in whole or in part, into the United States, Canada, Australia, the Republic of South Africa or Japan or to any persons in any of those jurisdictions or any other jurisdiction where to do so would constitute a violation of the relevant securities laws of such jurisdiction. Any failure to comply with this restriction may constitute a violation of United States, Australian, New Zealand, Canadian, Japanese or South African securities laws. The distribution of this announcement in other jurisdictions may be restricted by law and persons into whose possession this announcement comes should inform themselves about, and observe any such restrictions.

This announcement does not constitute, or form part of, any offer or invitation to sell or issue, or any solicitation of any offer to purchase or subscribe for any Ordinary Shares or other securities in the United States, Canada, Australia, the Republic of South Africa or Japan or in any jurisdiction to whom or in which such offer or solicitation is unlawful. The Placing and the distribution of this announcement and other information in connection with the Placing and Admission in certain jurisdictions may be restricted by law and persons into whose possession this announcement, any document or other information referred to herein, comes should inform themselves about and observe any such restriction. Any failure to comply with these restrictions may constitute a violation of the securities laws of any such jurisdiction. Neither this announcement nor any part of it nor the fact of its distribution shall form the basis of or be relied on in connection with or act as an inducement to enter into any contract or commitment whatsoever.

Neither the content of the Company’s website nor any website accessible by hyperlinks on the Company’s website is incorporated in, or forms part of, this announcement.

The securities referred to herein have not been, and will not be, registered under the United States Securities Act of 1933, as amended (the “US Securities Act“) nor under any securities laws or with any securities regulatory authority of any state or other jurisdiction of the United States, and may not be offered, sold, transferred or delivered, directly or indirectly, in the United States unless registered under the US Securities Act or offered and sold in a transaction exempt from, or not subject to, the registration requirements of the US Securities Act and in accordance with any applicable securities laws of any state or other jurisdiction of the United States. The securities are offered and sold (i) outside the United States only to non-US persons (within the meaning of the Securities Act) in accordance with Regulation S under the US Securities Act and (ii) within the United States only to a limited number of eligible investors pursuant to an exemption from the registration requirements of the US Securities Act. The securities referred to herein have not been and will not be registered under the US Securities Act or under the applicable securities laws of Canada, Australia, the Republic of South Africa or Japan.

Cantor Fitzgerald is acting exclusively as nominated adviser and broker to the Company and for no-one else in connection with the Placing and Admission and is not acting for and will not be responsible to any person other than the Company in connection with the Placing and Admission including for providing the protections afforded to clients of Cantor Fitzgerald or for providing advice in connection with Admission, the Placing or the contents of this announcement including any transaction, matter or arrangement referred to in this announcement. Cantor Fitzgerald’s responsibilities as the Company’s nominated adviser and broker under the AIM Rules for Nominated Advisers are owed solely to the London Stock Exchange and are not owed to the Company or to any Director or to any other person in respect of a decision to acquire shares in the Company in reliance on any part of this announcement.

Apart from the responsibilities and liabilities, if any, which may be imposed on Cantor Fitzgerald by the Financial Services and Markets Act 2000 (as amended) or the regulatory regime established thereunder, Cantor Fitzgerald does not accept any responsibility whatsoever for the contents of this announcement, including its accuracy, completeness or verification or for any other statement made or purported to be made by it, or on its behalf, in connection with the Company, the Ordinary Shares, Admission or the Placing. Cantor Fitzgerald has not authorised the contents of, or any part of, this announcement and no liability whatsoever is accepted by Cantor Fitzgerald nor does it make any representation or warranty, express or implied, for the accuracy of any information or opinion contained in this announcement or for the omission of any information.  Cantor Fitzgerald accordingly disclaims all and any responsibility or liability whether arising in tort, contract or otherwise (save as referred to above) which it might otherwise have in respect of this announcement or any such statement.  The contents of this announcement, which has been prepared by and is the sole responsibility of the Company.

Forward-looking statements
This announcement includes statements that are, or may be deemed to be, “forward-looking statements”. These forward-looking statements can be identified by the use of forward-looking terminology, including the terms “believes”, “estimates”, “plans”, “projects”, “anticipates”, “expects”, “intends”, “may”, “will” or “should” or, in each case, their negative or other variations or comparable terminology. These forward-looking statements include matters that are not historical facts. They appear in a number of places throughout this announcement and include statements regarding the directors’ current intentions, beliefs or expectations concerning, among other things, the Company’s results of operations, financial condition, liquidity, prospects, growth, strategies and the Company’s markets.

Forward-looking statements may and often do differ materially from actual results. Any forward-looking statements in this announcement are based on certain factors and assumptions, including the directors’ current view with respect to future events and are subject to risks relating to future events and other risks, uncertainties and assumptions relating to the Company’s operations, results of operations, growth strategy and liquidity. While the directors consider these assumptions to be reasonable based upon information currently available, they may prove to be incorrect. Save as required by law or by the AIM Rules for Companies, neither the Company nor Cantor Fitzgerald undertakes any obligation to publicly release the results of any revisions to any forward-looking statements in this announcement that may occur due to any change in the directors’ expectations or to reflect events or circumstances after the date of this announcement.